Why Was My Credit Card Application Denied?

There are a number of different requirements you need to meet to get your credit card application approved. This also means there are many reasons your application could be unsuccessful – and most lenders won’t automatically tell you why it was declined.

Read on to learn the most common reasons credit card applications are rejected and what you can do to improve your odds.

Reasons your credit card application may be declined

Understanding why your credit card application was rejected can help you figure out your next steps. A credit card application rejection is not always caused by having bad credit. Some of the most common problems include:

Your age. If you’re under 18 years of age, or the age of majority in your province or territory, then your credit card application will be declined.

Incorrect information on your application. Something as simple as entering your driver’s license number wrong or misspelling your address could mean the credit card provider is unable to verify your details and move forward with the application process. If a mistake is the reason your credit card application is declined, you may be able to resolve the situation with the provider by amending your application.

Recent changes in your circumstances. If you have recently moved or changed jobs and you haven’t updated this information across all your networks, it could be hard for the provider to verify your identity or access your credit report. As with mistakes on the application, you may be able to deal with this by calling the credit card issuer and/or by providing additional documentation.

Not meeting income requirements for the card. Some credit cards have minimum income requirements. If your annual earnings are less than the required amount, your application will be declined.

Poor employment circumstances. Stable, ongoing employment helps show providers that you can meet repayments for a new credit card. If your employment is temporary, part-time or hard to verify for some other reason, you may find it hard to get approval for certain cards.

Other financial risks. When you apply for a credit card, you have to enter information about your income and expenses. If you have a lot of expenses in comparison to your income, the provider may determine that there is a high risk you won’t be able to make your repayments and therefore decline your application.

Not meeting citizenship or residency status. While there are some credit cards available for temporary residents, other cards are only available to permanent residents and citizens of Canada. Your application could be rejected if you don’t meet the residency requirements.

Bad credit history. When you apply for a credit card, the provider will request a copy of your credit report from one of the two credit bureaus: TransUnion and Equifax. If you have negative information in your credit history – such as late payments, defaults, too many applications for credit or even not enough credit history – the provider may find you do not meet the requirements for the card and decline your application.

Keep this in mind

It’s important to remember that credit card providers assess applications on an individual basis, so the specific reasons your application may be declined will vary depending on your specific circumstances. Some providers may be willing to discuss these details with you, while others may not. Either way, it’s a good idea to keep a copy of your application and go over the details above to figure out the likely reason it was declined.

Earn 2 Points for every $1 spent on eligible dining or entertainment purchases.

Earn 10,000 Points ($50 travel value). Plus, get a full annual fee rebate for the Primary Cardholder for the first year. Apply by June 29, 2020. This offer is only available to residents of Canada other than the province of Quebec. Conditions apply.

Get 3 BMO Rewards points per $1 spent on eligible travel, dining and entertainment purchases (up to $50,000 spend annually), and get 2 BMO Rewards points per $1 spent on all other eligible purchases (and once you reach the $50,000 annual spend).

Earn a bonus of up to 35,000 BMO Rewards points with a minimum spend of $3,000 on eligible purchases in the first three months of card membership ($250 travel value to be used towards a flight booked through bmorewards.com). Plus, get the $150 annual fee waived in the first year.

Earn 3% in travel rewards on all eligible travel purchases (6 Points per $1 spent) and earn 1.5% in travel rewards on all other eligible purchases (3 Points per $1 spent).

Earn up to 60,000 Points ($300 travel value). Plus, get a full annual fee rebate for the Primary Cardholder for the first year. Apply by June 29, 2020. This offer is only available to residents of Canada other than the province of Quebec. Conditions apply.

Earn 3 Membership Rewards points for every $1 spent on eligible business essentials including office supplies, electronics, rides, gas, eats and drinks (up to an annual earn of 75,000 Membership Rewards), and earn 1 Membership Reward point for every $1 spent on all other eligible purchases

Earn up to 42,000 Membership Rewards points in your first year. Earn a Welcome Bonus of 30,000 Membership Rewards points when you spend at least $5,000 on eligible purchases within the first three months, and earn 1,000 Membership Rewards points each month (a total of 12,000 annually) when you spend a minimum of $3,000 on eligible purchases

Earn 3% cash back on groceries, 1% on recurring bill payments and 0.5% on all other eligible purchases.

Get up to 5% cash back on all eligible purchases in the first three months of card membership (up to a maximum spend of $2,000, and earn 3% cash back on groceries, 1% on recurring bill payments and 0.5% on all other eligible purchases thereafter). Plus, get a rate of 1.99% on balance transfers with a 1% balance transfer fee for nine months.

Earn 3% cash back on groceries, 1% on recurring bill payments and 0.5% on all other eligible purchases.

Get up to 5% cash back in the first three months (up to a maximum spend of $2,000, and earn 3% cash back on groceries, 1% on recurring bill payments and 0.5% on all other eligible purchases thereafter). Plus, get a rate of 1.99% on balance transfers for 9 months, with a 1% fee for every transferred balance.

Earn 4% cash back for every $1 spent on eligible grocery purchases & recurring bill payments, 2% per $1 spent on eligible gas purchases & public transit, and 1% per $1 spent on all other eligible purchases.

Earn 10% cash back on all eligible purchases for the first 3 months (up to $2,000 in total purchases). Plus, pay no annual fee in the first year, including on supplementary cards. Apply by July 01, 2020.

Earn 5% in GM Earnings on all eligible purchases on the first $5,000 annual spend, and 2% in GM Earnings on all eligible purchases thereafter.

Earn 5% in GM Earnings on all eligible purchases on the first $5,000 annual spend, and 2% in GM Earnings on all eligible purchases thereafter. For every $1 in GM Earnings, you’ll get $1 off the purchase price or lease of a new GM, Chevrolet, Buick, GMC or Cadillac.

Earn up to a total bonus of 40,000 Scotia Rewards points (up to a $400 travel value) in your first year. Earn 30,000 Bonus Scotia Rewards points when you spend at least $1,000 on eligible purchases within the first three months. Apply by July 1, 2020. Plus, earn 10,000 Bonus Scotia Rewards points each year when you spend at least $40,000 annually on eligible purchases (and earn 2,000 Bonus Scotia Rewards points for every additional $10,000 in purchases thereafter).

Earn 2% cash back on all eligible gas station, grocery store and drug store purchases and on recurring bill payments (up to a $25,000 annual spend), and earn 1% cash back on all other eligible purchases (and on all eligible purchases once the $25,000 annual spend is reached).

Get a 2.99% introductory rate on balance transfers and a 0% balance transfer fee for the first 6 months. Apply by July 1, 2020.

Earn 2% cash back in two categories of your choice (or three categories if you open a Tangerine Savings Account and directly deposit your cash back into the account), and 0.5% cash back on everything else.

Get a 1.95% interest rate on balance transfers for the first six months (valid within the first 30 days of account opening).

Earn 2% cash back in two categories of your choice (or three categories if you open a Tangerine Savings Account and directly deposit your cash back into the account), and 0.5% cash back on everything else.

Get a 1.95% interest rate on balance transfers for the first six months (valid within the first 30 days of account opening).

Earn 1 AIR MILE for every $5 spent on eligible food, drink, gas and transit purchases (up to an annual spend of $30,000), and earn 1 AIR MILE for every $10 spent on all other eligible purchases (and after the $30,000 annual spend)

Earn a Welcome Bonus of 2,000 AIR MILES when you spend at least $1,500 in eligible purchases within the first three months.

Earn 3 Membership Rewards points for every $1 spent on eligible dining in Canada, 2 Membership Rewards points for every $1 spent on eligible travel purchases as well as hotel and car rental bookings made with American Express Travel, and earn 1 Membership Reward point for every $1 spent on all other eligible purchases

As a new Platinum Cardmember, earn 25,000 Welcome Bonus Membership Rewards points when you charge $2,000 in purchases to your card in the first three months of Cardmembership.

Earn 2 Membership Rewards points for every $1 spent on eligible gas station, grocery store, drug store and travel purchases and on eligible hotel and car rental bookings made with American Express Travel, and earn 1 Membership Reward point for every $1 spent on all other eligible purchases

Earn a Welcome Bonus of 25,000 Membership Rewards points when you spend at least $1,500 on eligible purchases within the first three months

Earn 1 AIR MILE for every $10 spent on purchases at eligible stand-alone grocery stores, gas stations and drugs stores in Canada, as well as eligible AIR MILES partners, and earn 1 AIR MILE for every $15 spent on all other eligible purchases elsewhere

Earn a Welcome Bonus of 2,400 AIR MILES when you spend at least $3,000 in eligible purchases within the first three months.

Earn 3% cash back on groceries, 1% on recurring bill payments and 0.5% on all other eligible purchases.

Get up to 5% cash back on all eligible purchases in the first three months of card membership (up to a maximum spend of $2,000, and earn 3% cash back on groceries, 1% on recurring bill payments and 0.5% on all other eligible purchases thereafter). Plus, get a rate of 1.99% on balance transfers with a 1% balance transfer fee for nine months.

Earn 3% cash back on groceries, 1% on recurring bill payments and 0.5% on all other eligible purchases.

Get up to 5% cash back in the first three months (up to a maximum spend of $2,000, and earn 3% cash back on groceries, 1% on recurring bill payments and 0.5% on all other eligible purchases thereafter). Plus, get a rate of 1.99% on balance transfers for 9 months, with a 1% fee for every transferred balance.

Earn 2% cash back on all eligible gas station, grocery store and drug store purchases and on recurring bill payments (up to a $25,000 annual spend), and earn 1% cash back on all other eligible purchases (and on all eligible purchases once the $25,000 annual spend is reached).

Get a 2.99% introductory rate on balance transfers and a 0% balance transfer fee for the first 6 months. Apply by July 1, 2020.

Earn 2% cash back in two categories of your choice (or three categories if you open a Tangerine Savings Account and directly deposit your cash back into the account), and 0.5% cash back on everything else.

Get a 1.95% interest rate on balance transfers for the first six months (valid within the first 30 days of account opening).

Earn 2% cash back in two categories of your choice (or three categories if you open a Tangerine Savings Account and directly deposit your cash back into the account), and 0.5% cash back on everything else.

Get a 1.95% interest rate on balance transfers for the first six months (valid within the first 30 days of account opening).

Compare up to 4 providers

Earn 2 Points for every $1 spent on eligible dining or entertainment purchases.

Earn 10,000 Points ($50 travel value). Plus, get a full annual fee rebate for the Primary Cardholder for the first year. Apply by June 29, 2020. This offer is only available to residents of Canada other than the province of Quebec. Conditions apply.

Earn 3% in travel rewards on all eligible travel purchases (6 Points per $1 spent) and earn 1.5% in travel rewards on all other eligible purchases (3 Points per $1 spent).

Earn up to 60,000 Points ($300 travel value). Plus, get a full annual fee rebate for the Primary Cardholder for the first year. Apply by June 29, 2020. This offer is only available to residents of Canada other than the province of Quebec. Conditions apply.

Get 3 BMO Rewards points per $1 spent on eligible travel, dining and entertainment purchases (up to $50,000 spend annually), and get 2 BMO Rewards points per $1 spent on all other eligible purchases (and once you reach the $50,000 annual spend).

Earn a bonus of up to 35,000 BMO Rewards points with a minimum spend of $3,000 on eligible purchases in the first three months of card membership ($250 travel value to be used towards a flight booked through bmorewards.com). Plus, get the $150 annual fee waived in the first year.

Earn 3 Membership Rewards points for every $1 spent on eligible business essentials including office supplies, electronics, rides, gas, eats and drinks (up to an annual earn of 75,000 Membership Rewards), and earn 1 Membership Reward point for every $1 spent on all other eligible purchases

Earn up to 42,000 Membership Rewards points in your first year. Earn a Welcome Bonus of 30,000 Membership Rewards points when you spend at least $5,000 on eligible purchases within the first three months, and earn 1,000 Membership Rewards points each month (a total of 12,000 annually) when you spend a minimum of $3,000 on eligible purchases

Earn up to a total bonus of 40,000 Scotia Rewards points (up to a $400 travel value) in your first year. Earn 30,000 Bonus Scotia Rewards points when you spend at least $1,000 on eligible purchases within the first three months. Apply by July 1, 2020. Plus, earn 10,000 Bonus Scotia Rewards points each year when you spend at least $40,000 annually on eligible purchases (and earn 2,000 Bonus Scotia Rewards points for every additional $10,000 in purchases thereafter).

Earn 1 AIR MILE for every $5 spent on eligible food, drink, gas and transit purchases (up to an annual spend of $30,000), and earn 1 AIR MILE for every $10 spent on all other eligible purchases (and after the $30,000 annual spend)

Earn a Welcome Bonus of 2,000 AIR MILES when you spend at least $1,500 in eligible purchases within the first three months.

Earn 2 Membership Rewards points for every $1 spent on eligible gas station, grocery store, drug store and travel purchases and on eligible hotel and car rental bookings made with American Express Travel, and earn 1 Membership Reward point for every $1 spent on all other eligible purchases

Earn a Welcome Bonus of 25,000 Membership Rewards points when you spend at least $1,500 on eligible purchases within the first three months

Earn 3 Membership Rewards points for every $1 spent on eligible dining in Canada, 2 Membership Rewards points for every $1 spent on eligible travel purchases as well as hotel and car rental bookings made with American Express Travel, and earn 1 Membership Reward point for every $1 spent on all other eligible purchases

As a new Platinum Cardmember, earn 25,000 Welcome Bonus Membership Rewards points when you charge $2,000 in purchases to your card in the first three months of Cardmembership.

Earn 1 AIR MILE for every $10 spent on purchases at eligible stand-alone grocery stores, gas stations and drugs stores in Canada, as well as eligible AIR MILES partners, and earn 1 AIR MILE for every $15 spent on all other eligible purchases elsewhere

Earn a Welcome Bonus of 2,400 AIR MILES when you spend at least $3,000 in eligible purchases within the first three months.

Earn 3% cash back on groceries, 1% on recurring bill payments and 0.5% on all other eligible purchases.

Get up to 5% cash back on all eligible purchases in the first three months of card membership (up to a maximum spend of $2,000, and earn 3% cash back on groceries, 1% on recurring bill payments and 0.5% on all other eligible purchases thereafter). Plus, get a rate of 1.99% on balance transfers with a 1% balance transfer fee for nine months.

Earn 3% cash back on groceries, 1% on recurring bill payments and 0.5% on all other eligible purchases.

Get up to 5% cash back in the first three months (up to a maximum spend of $2,000, and earn 3% cash back on groceries, 1% on recurring bill payments and 0.5% on all other eligible purchases thereafter). Plus, get a rate of 1.99% on balance transfers for 9 months, with a 1% fee for every transferred balance.

Earn 4% cash back for every $1 spent on eligible grocery purchases & recurring bill payments, 2% per $1 spent on eligible gas purchases & public transit, and 1% per $1 spent on all other eligible purchases.

Earn 10% cash back on all eligible purchases for the first 3 months (up to $2,000 in total purchases). Plus, pay no annual fee in the first year, including on supplementary cards. Apply by July 01, 2020.

Earn 5% in GM Earnings on all eligible purchases on the first $5,000 annual spend, and 2% in GM Earnings on all eligible purchases thereafter.

Earn 5% in GM Earnings on all eligible purchases on the first $5,000 annual spend, and 2% in GM Earnings on all eligible purchases thereafter. For every $1 in GM Earnings, you’ll get $1 off the purchase price or lease of a new GM, Chevrolet, Buick, GMC or Cadillac.

Earn 2% cash back on all eligible gas station, grocery store and drug store purchases and on recurring bill payments (up to a $25,000 annual spend), and earn 1% cash back on all other eligible purchases (and on all eligible purchases once the $25,000 annual spend is reached).

Get a 2.99% introductory rate on balance transfers and a 0% balance transfer fee for the first 6 months. Apply by July 1, 2020.

Earn 2% cash back in two categories of your choice (or three categories if you open a Tangerine Savings Account and directly deposit your cash back into the account), and 0.5% cash back on everything else.

Get a 1.95% interest rate on balance transfers for the first six months (valid within the first 30 days of account opening).

Earn 2% cash back in two categories of your choice (or three categories if you open a Tangerine Savings Account and directly deposit your cash back into the account), and 0.5% cash back on everything else.

Get a 1.95% interest rate on balance transfers for the first six months (valid within the first 30 days of account opening).

Earn 3% cash back on groceries, 1% on recurring bill payments and 0.5% on all other eligible purchases.

Get up to 5% cash back on all eligible purchases in the first three months of card membership (up to a maximum spend of $2,000, and earn 3% cash back on groceries, 1% on recurring bill payments and 0.5% on all other eligible purchases thereafter). Plus, get a rate of 1.99% on balance transfers with a 1% balance transfer fee for nine months.

Earn 3% cash back on groceries, 1% on recurring bill payments and 0.5% on all other eligible purchases.

Get up to 5% cash back in the first three months (up to a maximum spend of $2,000, and earn 3% cash back on groceries, 1% on recurring bill payments and 0.5% on all other eligible purchases thereafter). Plus, get a rate of 1.99% on balance transfers for 9 months, with a 1% fee for every transferred balance.

Earn 5% in GM Earnings on all eligible purchases on the first $5,000 annual spend, and 2% in GM Earnings on all eligible purchases thereafter.

Earn 5% in GM Earnings on all eligible purchases on the first $5,000 annual spend, and 2% in GM Earnings on all eligible purchases thereafter. For every $1 in GM Earnings, you’ll get $1 off the purchase price or lease of a new GM, Chevrolet, Buick, GMC or Cadillac.

Earn 2% cash back in two categories of your choice (or three categories if you open a Tangerine Savings Account and directly deposit your cash back into the account), and 0.5% cash back on everything else.

Get a 1.95% interest rate on balance transfers for the first six months (valid within the first 30 days of account opening).

Earn 2% cash back in two categories of your choice (or three categories if you open a Tangerine Savings Account and directly deposit your cash back into the account), and 0.5% cash back on everything else.

Get a 1.95% interest rate on balance transfers for the first six months (valid within the first 30 days of account opening).

Compare up to 4 providers

Take advantage of a low annual fee, with no credit check and guaranteed approval once you secure your credit card with some funds.

Take advantage of a low annual fee, with guaranteed approval and no credit check.

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How can I improve my chances of credit card approval?

Choose a card that suits your circumstances. Make sure the credit card you apply for is right for your needs by considering how it will fit with your current financial situation. For example, if you don’t earn a lot of money, you may want to look at credit cards for low income earners. Similarly, if you’re retired, on a pension or self-employed, you could look at the range of cards that accommodate these circumstances.

Get a copy of your credit report. You can request a copy of your credit report from Equifax or TransUnion. This allows you to make sure all the details listed are current and accurate. It can also give you a better understanding of how you can improve your finances. For example, if you see a lot of listings for late payments, you may want to focus on paying your bills on time to help improve your credit score.

Update all of your details before you apply. Make sure your address, phone number, email address and employment information is updated across all your networks so that it is easy for credit card providers to verify the information on your application.

Read over the application before you submit it. Going over the details in your application will help you pick out any errors before you hit the “submit” button.

Have your supporting documentation ready. Credit card providers require a range of documents before they can fully process your application, including valid ID, pay stubs and bank statements. It can speed up the application process if you have these documents ready before you apply because you’ll be able to provide them as soon as they’re requested.

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Bottom line

Credit card issuers require a wide range of information before they can make a decision about your application. By learning more about these requirements and the common reasons applications are declined, you can make informed decisions about what cards to apply for and increase your chances of approval in the future.

Frequently asked questions about declined credit card applications

Frequent applications and rejection can hurt your credit rating. In this case, you may want to wait a few months and then find a card that suits your needs and has eligibility requirements that you can meet.

It depends on the card. Providers may look at both the employment details and income of a person, which means you could still get a credit card when you are retired if you meet the minimum income requirements. Income could include your pension, Old Age Security, investment income and any part-time income you have.

Credit card providers generally like to see a minimum of 3-6 months of employment with your current employer. Alternatively, you may be asked to provide a letter from your employer confirming the terms of your employment and your salary.

Credit card providers consider many different factors before approving or declining an application. While you may not have much credit history if it’s your first credit card application, other details such as your employment and income can help you get approval.

Emma Balmforth is a producer at Finder. She is passionate about helping people make financial decisions that will benefit them now and in the future. She has written for a variety of publications including World Nomads, Trek Effect and Uncharted. Emma has a degree in Business and Psychology from the University of Waterloo. She enjoys backpacking, reading and taking long hikes and road trips with her adventurous dog.

Disclaimer - We endeavour to ensure that the information on this site is current and accurate but you should confirm any information with the product or service provider and read the information they can provide. If you are unsure you should get independent advice before you apply for any product or commit to any plan.

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